London / UK. (pf) British Premier Foods PLC announced its preliminary results for the financial period to 04 April 2015, including unaudited pro forma results for the 52 weeks to 04 April 2015. Chief Executive Gavin Darby: «For the last quarter, I am pleased to again report an improving sales trend, which has benefited from a combination of brand investment, exciting new products and strong retail execution. Across our branded portfolio, we have delivered volume and value share gains, while we have driven growth in our cake and flavourings + seasonings categories».
«Over the last twelve months, six of our major brands have benefited from TV advertising and we have launched a number of new products to market, with more to come this year. We have also made good progress with our major customers and we now hold significantly more category captaincy roles than we did three years ago».
«While it is encouraging to note the return of volume growth to both our categories and the wider grocery market, we expect the near term trading environment to be challenging, and our expectations for the year are unchanged. I remain confident that our strategy of investing in brands, innovation and infrastructure is the right one for Premier Foods, and see increasing evidence that our efforts are starting to pay off. The Board is firmly focussed on the creation of future value, and believes that its investment and growth strategies, combined with a focus on cost efficiency, Trading profit delivery and organic de-leveraging, are well positioned to deliver success».
|Continuing operations||04 April 2015 (15 months)||31 Dec 2013 (12 months)|
|Revenue||964.3 million GBP||843.0 million GBP|
|Trading profit||150.2 million GBP||139.5 million GBP|
|(Loss) after taxation||(92.7) million GBP||(46.7) million GBP|
|Basic loss per share||(12.7) Pence||(12.8) Pence|
|Adjusted earnings per share||09.0 Pence||17.0 Pence|
|Pro forma results (unaudited)||04 April 2015 (52 weeks)||05 April 2014 (52 weeks)||Change (%)|
|Branded sales||683.7 million GBP||712.8 million GBP||(4.1%)|
|Trading profit||131.0 million GBP||139.9 million GBP||(6.4%)|
|Adjusted profit before tax||83.2 million GBP||74.9 million GBP||11.1%|
|Adjusted earnings per share||08.0 Pence||15.6 Pence||(48.9%)|
As a result of the Company´s decision to move to a strategic business unit structure, the Company has for the first time been required to assess the carrying value of the Sweet Treats business as a stand alone entity. The goodwill allocated to the business unit has been assessed and consequently, the Company has recognised an impairment of goodwill of 67.9 million GBP in respect of its Sweet Treats business for the financial period ended 04 April 2015. Despite this non-cash charge, the Company considers the Sweet Treats business presents many further opportunities for future growth.
Financial Reporting Changes
- Move to 52 week reporting period ending early April (previously calendar year to 31 December)
- Half Year and quarterly updates for 26 weeks and 13 weeks respectively
- Better fit of financial year end with seasonal nature of business
- Re-classification of certain commercial costs from selling, marketing + distribution expenses to turnover
- Prior periods are re-stated to reflect all the above where required
- Full pro forma P+L results for 52 weeks to 04 April 2015 in appendix
Pro Forma Results
The Company´s results for the 52 weeks ended 04 April 2015 are presented on a Pro forma basis, unless otherwise stated. The Pro forma results are unaudited, exclude the results of previously completed business disposals, joint ventures and are presented to illustrate the performance of the Company on the new reporting calendar methodology. Continuing operations includes the respective periods that the Company maintained ownership of completed disposals in 2013 and joint ventures entered into.
|million GBP||Continuing operations||Less: Disposals||Less: JV Knighton||Less: 2013-01-01 to 2013-04-06||Add/(Less): 2014-01-01 to 2014-04-05||Pro forma business|